Structured Settlement FAQs | Frequently Asked Questions - DRB Capital
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Using our structured settlement FAQ guide, you will find the most frequently asked questions (FAQ) when selling structured settlement annuity payments for a lump sum of cash.

Q: What is a Structured Settlement?

A: Sometimes, when a personal injury lawsuit or similar type of case finalizes, a plaintiff receives a monetary award that is broken out into several smaller payments over a fixed period of time. Usually, this time period stretches over many years, and this is more common with larger settlements. This is known as a structured settlement, and it is also sometimes referred to as a structured settlement annuity.

Q: How Does a Structured Settlement Differ from a Lump Sum?

structured settlement faqsA: Unlike a structured settlement, a lump sum is a single, one-time payment. Whether it’s lottery winnings or a monetary award from a lawsuit, lump sum payments are generally large payments because recipients are getting the money upfront and in a single payment.

Q: Is a Lump Sum Better Than a Structured Settlement?

A: One is not necessarily better than the other; they are different, and they both have their own advantages and disadvantages. Structured settlements offer a steady income stream, which can be reassuring for many people. However, structured settlements can also be restrictive, because recipients don’t have access to all of their money at one time. Ultimately, it’s about deciding what is best for you.

Q: Why Would I Want to Sell My Structured Settlement Payments?

A: Everyone has their own personal reasons for selling structured settlement payments for a lump sum of cash. Some of the most popular reasons include buying a home, paying for college, taking care of debt and/or medical expenses, making necessary repairs to a home, purchasing a car, and more.

Q: How Much Will I Receive for Selling Structured Settlement Payments?

selling structured settlement paymentsA: This will depend on a variety of factors. We will calculate the future value of your payments, and take different factors into consideration, including the value of your payments, how many payments are remaining, and so on. It will also depend on how many structured settlement payments you ultimately decide to sell. We can discuss your options, and provide you with a completely free quote for the sale of your future structured settlement payments.

Q: Do I Have to Sell All of My Structured Settlement Payments?

A: One of the many benefits of selling structured settlement payments is the flexibility offered. Some people prefer to sell all of their structured settlement payments because they would rather receive the largest lump sum possible by completely cashing out the remainder of their payment stream. However, many people prefer to sell just a portion of their structured settlement payments if it gives them the money they need to accomplish their specific goals. By selling just a portion of your structured settlement payments, you can receive a lump sum of cash and also maintain a steady stream of payments: the best of both worlds and a good compromise between the two options. And after you work with us once, selling additional payments in the future will be even easier and faster since we’ll already have all of your information on file.

Q: Are There Laws that Regulate the Sale of Structured Settlement Payments?

A: When it comes to structured settlement payments, and in particular, the sale of structured settlement payments, there are various provisions set in place that are meant to protect people receiving these payments. The Structured Settlement Protection Act, for example, outlines specific regulations that are meant to protect payment stream recipients. In general, these laws and regulations will vary by state, and may also indicate whether specific structured settlements are eligible for transfer. To learn more about your specific structured settlement and eligibility, contact us today and we will be happy to discuss your options.

Q: How Do I Get Started?

sell structured settlementA: Whether you just started receiving structured settlement payments, or you have been receiving them for many years with additional payments remaining, you can always reach out to us to get started. Contacting us directly is your first step toward selling structured settlement payments for a lump sum. During our initial conversation, we will get more information about your structured settlement, such as how many payments you have remaining, how frequently you receive those payments, how much your payments are, and how much money you are looking to receive in a lump sum. From there, we will provide you with a quote for the sale of your payments. If you are unsure about whether you want to sell some of your payments or all of them, we can also provide you with multiple quotes based on different scenarios. If you decide to move forward with us, we will collect the documents we need to officially get the process started.

Q: How Long Will it Take to Get Money Once I Sell My Structured Settlement Payments?

A: On average, it only takes about 45 days to get money from the sale of your structured settlement payments. You may receive money sooner or later depending on each unique situation.

 
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